General overview for 06/02/2014 08:45 CET
The corrective cycle is still developing and one more wave to the upside is anticipated. The first confirmation comes with a golden trend line break and an intraday resistance level breakout. The target is a well known grey rectangle area between the levels of 1.1135 - 1.1148. On the other hand, if the golden trend line holds and the lower technical support zone at the level of 1.01028 will be tested first (and possibly broken), then the main count is invalidated and alternate count is the correct labeling. This means more decline into the 1.0940 level.
Support/Resistance:
1.1222 - Swing High
1.1213 - WR1
1.1135 - 1.1149 - Demand Breakthrough Zone
1.1121 - Weekly Pivot
1.1085 - Intraday Resistance
1.1058 - Intraday Support
1.1028 - Technical Support
1.1020 - WS1
Trading recommendations:
The bias is still bearish and any upside rally should be treated as a short trade opportunity. SL for all trades should be above the level of 1.1149 and TP at the level of 1.0940.